Talks between Blackburn Rovers and Kevin MacDonald continued on Friday over a new managerial set-up at Ewood Park.

MacDonald left Aston Villa in the summer but is still being paid the remainder of his contract, which is due to run until next summer. With that in mind, he will seek a longer deal at Blackburn than simply until the end of this season.

Another element is the appointment of Alex McLeish at Nottingham Forest; McLeish and MacDonald worked together for a spell at Villa, although there is no suggestion of that alliance being re-formed.

Blackburn's plan after the sacking of Henning Berg is believed to be the appointment of a coaching team rather than a manager with assistants. MacDonald first caught Blackburn's attention when speaking to the club about being a coach under Berg.

Shebby Singh, Blackburn's global adviser, dismissed suggestions that he and Judan Ali – a coach with experience limited to youth and amateur level and star of the Bollywood football movie Dhan Dhana Dhan Goal – are likely to be handed the job.

Singh said: "No, no – he's a guest of the club and, no, there's been no appointments, there's been no signings. None at all. That's rumour and speculation at the end of the day, what can I say? Please, I am serious now, no it's not true.

"We've got capable people. This club is well run, we've got proper people. Gary Bowyer has been reserve team and under-21 manager for two years, he's been at the club for eight years.

"Terry McPhillips, Tony Grant [both youth coaches] – these are great guys. They've been working so hard behind the scenes and people don't realise all the good work that they've put in. So nothing of that sort [Singh and Ali taking training], it's been business as usual."

Balaji Rao, a director of the Venky's group which owns Blackburn, was quoted in India saying that an appointment of a manager with "Premier League experience" was imminent.

But Singh said: "I can safely say that is not true because I was on the phone with him. I've been on the phone with him all morning and no, it's not true. Someone's just decided to be mischievous about it so, no, it's not true."